For the first time, digital yuan pilots are expanding into the insurance industry

China’s emerging central bank digital currency, the digital yuan, has been launched for a number of successful pilot projects ranging from e-commerce to salary payments and lottery traditions.

This week, the coin is said to have been introduced to the insurance industry in Shenzhen City, where it will be piloted by the local branch of the People’s Bank of China along with a local subsidiary of China’s leading insurance company. Ping on.

The project includes a new insurance policy tailored to medical workers in the Nanshan District of Shenzhen, offering them various levels of compensation in the event of a diagnosis or death from COVID-19.

According to the report, workers are being encouraged to use digital yuan wallets for premium payments by offering them the prospect of preferential pay.

Wang Peng – assistant professor at China’s Renmin University’s Gaoling School of Artificial Intelligence – said the pilot is important because it extends the use of the digital yuan beyond e-commerce, electronics, and retail payments and underscores its viability in a much more complex area Various application scenarios can provide evidence. Peng told local reporters:

“As more users get used to digital yuan payments and the market matures, the application scenarios can expand from the insurance industry to other scenarios such as financial services, financial services, and so on. Life services and even fund buying and stock trading. “

Ping An is expected to further explore the integration of digital yuan contracts for insurance claims, payments and other scenarios in the insurance sector.

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This week in particular, the digital yuan has gotten into a tense geopolitical battle between China and the United States after several senators filed a letter urging US Olympic and Paralympic Committee officials to prevent US athletes from use or accept China’s digital currency.

In response, Chinese Foreign Ministry spokesman Zhao Lijian called for de-escalation and urged senators to “stop making sport a political issue and not cause problems for digital currencies in China.”